It's up to you. Just be sure to lock in a few waypoints along the way.

Holy smokes.All these #'s are a bumch of gobble de gook to me.If Im able to make 88 pips none of this matters.Simple as increasing or decreasing lot size according to how much held over OPM I have aquired on the last 88 pip move.

Without pips you cant increase lot size.Huge lot size and no pips doesnt help.The only thing that matters is pips.It is the basis and starting point of all acquired riches.

So tell me again.

How do I get to use huge lot size on my $400 account without making pips???Just curious.

McDonalds burgers are so small, yet they taste sooo good

Anyways...

The numbers are simply the number of 'big pips' to a %target; the first target is 88 pips, the second is 106.6 pips further away (if you don't resize your $min), and the total of 88 & 106.6 is 194.6...please tell me that you understand

Pips 'do not matter'... as my father always used to say: "I am not $100 a day poor, I am $1000 a day poor; $100 isn't going to help me today & it sure as s**t is not going to help me tomorrow".

There are 704 pips, at 1 unit, to a %target; any pips that you gain prior to 8 units is of little help, it is all risk reduction / shts and giggles.

How many 'big pips' are there to a %target & how many 'big pips' have you made? 30 of 704 'does not matter' where as 30 of 88 is definitely progress.

When playing football, mm don't help us, we only care about yardage...do you get what I am saying?

In football we only care about points. Yardage just happens on the way to those points.

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aliassmith wrote: When playing football, mm don't help us, we only care about yardage...do you get what I am saying?

In football we only care about points. Yardage just happens on the way to those points.

In trading we only care about the $$$$. Pips just happen on the way.[/quote]

alias,That is a great analogy.Love it.

M.O.The double meat (1lb.) bacon cheeseburger from Stumpy's is much better.They even offer a triple 1.5# burger too. A couple of my boys got it.Their eyes were floating.The next time they just went for the double. hahahaaha

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If you risk $100 to make $200 then you are getting 2:1 on your money. While such a ratio might be "fantastic" for some it is not enough for most.

Let's look at what happens as we require more doubles after our initial entry: 0 Doubles: $100 to make $200, 2:1 1 Double: $50 to make $200, 4:1 2 Doubles: $25 to make $200, 8:1 3 Doubles: $12.50 to make $200, 16:1 4 Doubles: $6.25 to make $200, 32:1 5 Doubles: $3.12 to make $200, 64:1 6 Doubles: $1.56 to make $200, 128:1

You either lose x% or you win y%, there is no such thing as a "partial win/loss", you either reach your target using the initial and acquired space or you fail.

We can't just trade smaller because as you halve your size you multiply the distance to the target: 0: 20 pips 1: 40 2: 80 3: 160 4: 320 5: 640 6: 1,280 We need to double x number of times to pull the target back within reach of shorter periods. Every time that we double we halve the distance to success, the downside is that we also halve the distance to the destruction of our space.

Putting it into practice:

If we want to make 5% then we need to break it down into at least 14 parts for a maximum risk of 0.3571% per trade. The risk will always be capped at 0.3571%, no matter how many times you double, because you will be normalizing your risk. We have $10000, our target is +$500, our risk is $35.71 (~1/14). We divide the target by the ATR, lets call it 100, and we see that we need $5 P%PS ("big pips"). We then divide the dollar value of the "big pips" according to the number of doubles, in the case of 3 doubles we divide by 8 as 1 x 2 x 2 x 2 = 8. We now see that each small pip is $0.625 and we have 57.1 pips of space. If your lots add up to $0.60 then you have (.625 / .6)57.1 or 59.4 space & your target is about 4.1% further away (nothing to worry about).

You don't need to risk all 57.1 pips on one trade, you can set a 10 pip stop and use the space as if you had accumulated it to resize your trade.

For instance: if you make 10 pips then you have 67.1 pips. After you double, your total space is 33.55 and a 10 pip stop leaves 23.55 pips on the shelf should you get stopped.